Item8 Time Remaining 33 minutes 19 seconds00:33:19 Item 8Item 8 Time Remaining 33 minutes 19 seconds00:33:19 Peterson Company's general ledger shows a cash balance of $7,660 on May 31. May cash receipts of $1,250, included in the general ledger balance, are placed in the night depository at the bank on May 31 and processed by the bank on June 1. The bank statement dated May 31 shows an NSF check for $170 and a service fee of $80. The bank processes all checks written by the company by May 31 and lists them on the bank statement, except for one check totaling $1,710. The bank statement shows a balance of $7,870 on May 31. Prepare a bank reconciliation to calculate the correct ending balance of cash on May 31. (Amounts to be deducted should be indicated with a minus sign.)

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Business

Lesly Holland

2 October, 01:07

Item8 Time Remaining 33 minutes 19 seconds00:33:19 Item 8Item 8 Time Remaining 33 minutes 19 seconds00:33:19 Peterson Company's general ledger shows a cash balance of $7,660 on May 31. May cash receipts of $1,250, included in the general ledger balance, are placed in the night depository at the bank on May 31 and processed by the bank on June 1. The bank statement dated May 31 shows an NSF check for $170 and a service fee of $80. The bank processes all checks written by the company by May 31 and lists them on the bank statement, except for one check totaling $1,710. The bank statement shows a balance of $7,870 on May 31. Prepare a bank reconciliation to calculate the correct ending balance of cash on May 31. (Amounts to be deducted should be indicated with a minus sign.)

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Natalie Carrillo · Answer 1

Prepare a bank reconciliation to calculate the correct ending balance of cash on May 31.

Explanation:

Cash 7660

Books

Cash receipts pending on bank - 1250

Checks written 1710

Checks written not recorded 0

Banks

Bank service fee - 80

NSF Check - 170

Bank conciliation 7870

Bank account 7870

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